Canadian Dollar Range is Tightening

Commentary: There is nothing to add to the USDCAD as range is the order of the day. The head and shoulders continuation pattern is on the verge of confirmation as price has tested the neckline this morning.

However, the structure of the decline is not clear, which makes going with this break dangerous. The longer term wave structure also gives scope to a major reversal. This is why we favor playing a break above 1.0676. Strategy: Bullish on a break above 1.0676, against 1.0340, target TBD